The Tokyo Commodity Exchange (TOCOM) has signed a Memorandum of Understanding with Thailand Futures Exchange (TFEX) for the purpose of establishing a coordinated relationship between the two exchanges.
The exchanges have agreed to focus on developing areas of cooperation and business opportunities which will mutually benefit both parties and lead to the enhancement of Liquidity , efficiency and integrity of the two marketplaces.
TOCOM, which reported its May 2016 trading volumes last week, has welcomed the opportunity to work as a team to create long-term synergistic outcomes.
Takamichi Hamada, president and CEO of TOCOM, said: “We are pleased to embark on a cooperative effort. Product cooperation will be one of the areas for collaboration. TOCOM Rubber is the world’s benchmark and Thailand is the world’s largest producer of natural rubber. We expect to start by promoting an understanding of derivatives’ effectiveness in Risk Management for rubber producers and risk takers in both countries. We will also look to employ innovative tools to expand the rubber futures markets in both countries.”
The memorandum of understanding marks the the starting point for business cooperation between two exchanges. Not only will the cooperation include knowledge sharing between exchanges, but also the exploring of feasible product cooperation and business opportunities that would mutually benefit both marketplaces and support TFEX‘s international expansion.
